In the final of three articles Margaret Tofalides & Clare Arthurs discuss s 69 arbitration challenges
The third means of challenging an arbitration award lies under s 69 of the Arbitration Act 1996 (AA 1996), which provides that, unless otherwise agreed by the parties, one party may appeal to the court “on a question of law arising out of an award made in the proceedings”.
Opting out
Section 69 differs from ss 67 and 68 in that it is not mandatory. This is an issue which needs to be considered right at the outset, when agreeing to submit disputes to arbitration. Some of the most commonly-used arbitration rules expressly exclude the right to challenge on points of law. You should therefore check the relevant rules before agreeing to use them.
Equally, care must be taken with the arbitration agreement. Agreeing to dispense with reasons for the tribunal’s award will constitute a s 69 exclusion agreement (s 69(1)). An exclusion agreement can also be incorporated by reference rather than by being explicitly stated in the arbitration agreement, although clear language will